HomeMy WebLinkAboutEmergency Finding - Dental PPOCITY OF MIAMI, FLORIDA
INTER -OFFICE MEMORANDUM
TO:
FROM :
Johnny Martinez, P.E.
City Manager
r
Kenne h: Robertson, Di ector
Purchasji)g Dep3rtme t
CalvirfElli Dire for
Risk Management Department
December 9, 2011
DATE : FILE :
Emergency Finding:
Contract Extension for
Group Benefits Dental Plans
Dental PPO Plan with MetLife
Dental HMO Plan with Solstice
REFERENCES : Benefits, Inc.
SUBJECT:
ENCLOSURES: Group Dental PPO & HMO Plans
(RFP No. 273288)
The Departments of Purchasing and Risk Management jointly and respectfully request your
concurrence in making an emergency finding and waiving the formal requirements set forth in the
City of Miami Code of Ordinances, as amended, specifically Sections 18-85 and 18-90, to affirm
and to adopt these findings and to forward this matter to the City Commission for ratification by a
four -fifths affirmative vote at its next available meeting.
Section 18-90 of the City of Miami Municipal Code of Ordinances, Chapter 18, Article 1I1, stipulates
that:
In case of emergency, it is not advantageous or practicable for the city to use
competitive bidding methods. Therefore, the city may purchase directly those goods or
services whose immediate procurement is essential to the life, health, welfare, safety or
convenience of the city.
On October 6, 2011, RFP No. 273288 for the procurement of an Employee Benefit Dental Plans
was issued by the Purchasing Department at the request of the Risk Management Department.
An Evaluation Committee approved by the City Manager ranked Humana, inc. as the highest
ranked provider of Dental HMO and Dental PPO plans. .However, a protest was submitted
properly and timely by Solstice Benefits, Inc. Given the amount of time that may be necessary to
properly evaluate the merits of the protest and to complete the due diligence necessary to
adequately resolve the protest, it is necessary to extend the existing contracts with the existing
providers of the City's Group Benefit Dental PPO and HMO insurance plans for a period of four (4)
months or until the pending protest is resolved, whichever occurs first. The necessity of the
extension is directly attributable to the fact that the plan year for the current dental plans will expire
on December 31, 2011.
Not immediately awarding an extension to the existing contracts of the Dental PPO (MetLife) and
Dental (HMO) plans, will have an adverse impact on the health and welfare of the City's
participating employees, retirees and their dependents.
The existing contracts are and -the extended contracts will be funded in their entirety by the Risk
Management Department's budget (Budget Account Code 05002.301001.523000.0000.00000).
For the reasons stated above, as required by Sections 18-85 and 18-90 of the City of Miami Code
of Ordinances, the Departments of Purchasing and Risk Management request your emergency
authorization for the extension .of the existing Group Benefit Dental PPO and HMO plans with
MetLife and Solstice Benefits, Inc. for a period of four (4) months or until the pending protest is
resolved, whichever occurs first, with a premium not exceed $690,251 on an annual basis for the
Metlife Dental PPO, and with a premium not to exceed $483,690 on an annual_ basis for the
Solstice Benefits, Inc. Dental HMO, or .a combined premium not to exceed $1,173,941 on an
annual basis for the combined plans.
Your signature below will signify your concurrence with these findings as justification for the
determination of emergency and authorization to initiate the emergency extension purchase of the
existing Group Benefit Dental PPO and HMO plans.
APPROVED:
J. nny Marti ez, P.
City Manager
DATE: 12 ` -It